Programs, Policies and Practices
Edited by Amanda Bullough, Diana Hechavarría, Candida G. Brush and Linda F. Edelman
Chapter 6: Exploring gender differences in entrepreneurship: how the regulatory environment mitigates differences in early-stage growth aspirations
This chapter examines how the regulatory environment affects the relationship between gender and entrepreneurs’ early-stage growth aspirations. To do this, the authors develop a multi-level model that connects feminist theory at the micro-level to institutional theory at the macro-level. It is hypothesized that gender differences in early-stage entrepreneurship are more pronounced in low-quality regulatory environments and less pronounced in high-quality regulatory environments. Using data from the Global Entrepreneurship Monitor (GEM) and regulation data from the Economic Freedom of the World Index (EFW), the authors test their predictions and find evidence in support of their model for credit market regulations but not for business or labor market regulations. These findings suggest that, while there are gender differences in entrepreneurs’ early-stage growth aspirations, these disparities are reduced as the credit market regulatory environment improves.
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